Location: Payne County, OK | Metro: Payne County, OK
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $890 |
| 1 Bedroom | $930 |
| 2 Bedrooms | $1,130 |
| 3 Bedrooms | $1,560 |
| 4 Bedrooms | $1,640 |
| 5 Bedrooms | $1,902 |
| 6 Bedrooms | $2,130 |
| 7 Bedrooms | $2,300 |
| 8 Bedrooms | $2,415 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $930 | $147,415 | 0.63% | D |
| 2BR | $1,130 | $153,795 | 0.73% | D |
| 3BR | $1,560 | $264,471 | 0.59% | F |
| 4BR | $1,640 | $390,904 | 0.42% | F |
| 5BR | $1,902 | $572,016 | 0.33% | F |
U.S. Census Bureau data (2024)
Stillwater, OK, with a ZIP code of 74074, is a moderately sized community of 32,422 residents. Over half of these residents, specifically 51.0%, are renters, indicating a significant demand for rental properties. The median household income in this area stands at $52,998, which is relatively modest but still reflective of a stable middle-class community. Median home values in the region are slightly above average at $271,839, suggesting a mix of affordable and mid-range housing options.
Moving into the economic landscape for rental investments, the Fair Market Rent (FMR) for the metro area for fiscal year 2026 is set at $1,150. This figure represents the maximum amount that a voucher holder can pay towards their rent. However, the actual market rent, as measured by the Zillow Observed Rental Index (ZORI), is higher at $1,423. This discrepancy highlights an opportunity for landlords who are willing to manage properties actively, as they can potentially capture the difference between the FMR and the market rate through value-add strategies such as property improvements or efficient tenant screening processes.
The hands-off approach to managing Section 8 properties is viable in Stillwater, OK, given the substantial number of renters and the presence of a stable income base. However, the gap between the FMR and the market rent also suggests that a hands-on strategy could be more profitable. By focusing on improving property management practices and enhancing the quality of the units, a landlord can attract tenants willing to pay closer to the market rate, thereby increasing overall returns. This dual perspective allows for both passive income generation and active investment opportunities, catering to a wide range of investor preferences.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). Demographics from U.S. Census (2024).
About FMR: Fair Market Rent (FMR) is used to determine payment standards for the Section 8 Housing Choice Voucher program, initial renewal rents for some expiring project-based Section 8 contracts, and rent ceilings for HOME Investment Partnerships.